case study compilation television online mobile print c rm ... online case... · findings online...
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Introduction More Than 600 Case Studies Don’t LieOver the past six years, Nielsen Catalina Solutions and parent company Nielsen have completed more than 600 case studies, collaborating with almost 300 CPG brands and 80 manufacturing clients, to measure the correlation between online advertising and offline consumer purchases. These findings provide a simple, comprehensive view of how online advertising influences consumer behavior across multiple brands and product categories. In addition, our research serves as a guide to identify a brand’s best customers and measure their response to specific campaigns and creative messages.
The Effects of Online Advertising on Offline SalesNielsen Catalina Solutions provides the most comprehensive single source view of online advertising to help consumer packaged goods (CPG) marketers, agencies and media companies improve advertising effectiveness by directly linking what consumers watch with what they buy.
From Clicks to Cashiers
Television | Online | Mobile | Print | CRM
ROI | Audience Consultancy | Buyergraphics | Custom Analytics
These findings provide a
simple, comprehensive view
of how online advertising
influences consumer behavior
across multiple brands and
product categories.
Case Study Compilation
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Online Advertising Works In Lifting Offline Sales!
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Sales Lifts Vary By CPG Category
Findings Online Advertising WorksIf there was ever a doubt, the results of our 600 case studies put it to rest: Online advertising works. The research demonstrates that a direct link exists between online advertising and sales at the cash register, using single source analytics. Among our key findings:
• Online advertising contributes to higher offline brand sales by an average of 22%, with the buying rate rising by 12% and the penetration rate rising by 10%
• Different sales categories have different degrees of sales lift. Over-the-counter (OTC) drugs experienced the largest sales gain of 28%, while general merchandise sales lifted 23% and 21% for the food category
• Items that are new to market generally see a greater benefit from online advertising rising an average of 30%, compared with 20% for existing lines
• Both small and large brands fare well online. While smaller brands tend to see a bigger sales increase as a result of online advertising, larger brands experience greater returns on ad dollar investments
From Clicks to Cashiers | The Effects of Online Advertising on Offline Sales
“
“
Having the ability to
measure the return on
investment among
specific consumer groups,
we can equip both
advertisers and media
companies with the data
to make media buys more
effective and efficient.
—Mike Nazzaro
CEO, Nielsen Catalina Solutions
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Small Brands Get Big Lifts; Big Brands Get Big Returns
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
New Items Typically Get Bigger Lifts And Drive Value For The Parent Brand
From Clicks to Cashiers | The Effects of Online Advertising on Offline Sales
In Summary Don’t Rely on Click-Throughs, Count on the SalesAdvertisers are continuously monitoring their spending to achieve the maximum return for every ad dollar spent across an increasing number of competing channels. While consumers spend 26% of their media time online, only 18% of total ad dollars were allocated to this medium. Online advertising’s reduced share of spending is attributed in part to a lack of confidence in the channel and unfamiliarity with its measuring tools; our research shows online advertising drives offline sales.
Key Takeaways:
• The click-through rate is not the right metric to gauge brand awareness; it has virtually no relationship to return on investment (ROI), brand awareness or offline sales*
• Offline sales, a key metric for advertising effectiveness, can accurately be measured using a single source panel linking ad exposure directly to the households that purchased the product
• All brands, in all product categories are not created equal. Depending on the product category, they behave differently. There will be different results based on the product category, whether the brand is new or existing, based on its existing market penetration and other specific marketing situations
* Source: Nielsen, “Beyond Clicks and Impressions: Examining the Relationship between Online Advertising and Brand Building,” September 2011
Source: eMarketer
Advertisers Are Not Spending Online Proportionately To Time Spent
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Clicks Have No Relationship To ROI – Look, No Pattern!
Source: eMarketerer; STRATA, “2nd quarter survey results”; July 26,2011
Lack Of Advertising Accountability Is A Barrier To Growth
Copyright © 2011 Nielsen Catalina Solutions. All rights reserved. Nielsen is a trademark or registered trademark of CZT/ACN Trademarks, LLC Catalina is a registered trademark. Other product and service names are trademarks or registered trademarks of their respective companies. 11/2011
For more information, contact Nielsen Catalina Solutions [email protected] 800-226-7505 www.ncsolutions.com
How Nielsen Catalina Solutions WorksWe create the “gold-standard” in advertising performance and accountability analytics. Only Nielsen Catalina Solutions provides a single source view into how advertising influences purchase behavior for multiple platforms — TV, Online, Mobile, CRM and Print. This joint venture between Nielsen and Catalina integrates buyer data from the Nielsen Homescan® panel and 60 million households from Catalina’s shopper data warehouse of participating retailers, representing:
• 33% of all-commodity volume (ACV) for the grocery trade channel
• 11 of the top grocery retailers
The purchase data is linked to audience data sourced from:
• Television — Nielsen People Meter panel, Nielsen Set Meter panel, and cable set top box (STB) households
• Online, Mobile and Print — Nielsen Online panel and directly from media companies
• CRM — directly from Proprietary databases
From Clicks to Cashiers | The Effects of Online Advertising on Offline Sales
Equity And Promotional Campaigns Impact Sales Similarly
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Dollar Return Per 1000 Impressions Is Trending Upward
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements
Case Study Methodology
Source: Nielsen Catalina Solutions, 600+ digital ROI campaign measurements